newbie knitter with questions

[KarenT]

I just started knitting about 2 weeks ago and have done endless swatches and "dollhouse rugs" for dd. I'm ready to move on! :XX: I really don't want to do a scarf; we never wear them here in GA. I've crocheted for years, so I get the general concept.
I have a beginner book with several projects, dishcloths (basically what I've been doing), a sweater, dog sweater, booties, child's slippers, mittens and hat. Ultimately, what I'd like most to do is socks (the whole reason I learned to knit) but I realize I'm not quite ready for that! I'm leaning toward either mittens or hat or slippers. What would be the most logical next project, given my experience and goal?

Also, so far I have only size 8 and 9 needles, straight. I'm looking at all the sizes and then circulars, dpns, etc. Someone recommended the Denise set of interchangeable needles to have a complete set of straight and circular. Are these any good or will they be a pain to use? :thinking:

KarenT